Antonio Juliano, founder of decentralized exchange dYdX, believes that cryptocurrency builders should forget about serving U.S. customers for the next five to ten years, experiment in other markets, and then return when the time comes.
In an Aug. 25 (Twitter) post, Juliano argued that developers should prioritize markets outside the US, as they will face fewer hurdles while focusing on platform growth and user adoption.
Giuliano’s comments are specifically aimed at start-ups, rather than full-fledged platforms/enterprises, as he emphasizes that they can expand overseas more quickly in friendlier markets:
“Crypto builders should give up serving US customers for now and try to re-enter in 5-10 years. It’s really not worth the hassle/compromise. Most of the market is overseas anyway. Innovate there, find PMF [product market fit], and come back with more leverage. “
“In the long run, almost no one uses or cares about cryptocurrencies today. I personally don’t care about any outcome, except that cryptocurrencies grow 100+ times in the long run,” he added.
Cryptocurrencies align with American values. And what could be more American and capitalist than a financial system of the people, by the people, and for the people?
That’s actually what we’re building here.America will finally realize
— Anthony | dYdX (@AntonioMJuliano) August 25, 2023
Many in the industry have highlighted the lack of clear rules and regulations in the U.S. when it comes to cryptocurrencies, an important example being the gray area of market jurisdiction of the SEC and CFTC.
As the U.S. government continues to delay in establishing cryptocurrency regulation, Giuliano said that the cryptocurrency industry needs to develop further to be able to exert greater influence on U.S. policy.
Therefore, he believes it makes more sense for builders or start-ups to simultaneously focus on finding PMF overseas and then use the “leverage” of a large user base to come back.
“This doesn’t mean U.S. cryptocurrency policy work isn’t important. It’s definitely because it’s going to take a long time (to get ready for a return) and most of the world will follow the U.S. lead,” he said, adding that Added:
“Cryptocurrencies don’t yet have world-wide usage/product-market fit, which means we don’t have much clout in terms of policy yet. We need to have a product that’s used a lot, to have users (voters) say ‘wait, I need this’.”
Coinbase CEO Brian Armstrong responded by offering a different perspective, noting: “I see your point, but I think a shorter period of time would be better. If I had to guess, probably next year.”
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“After exhausting all other options, America has always made the right choice. No matter how hard a small group of people try to stop progress, it will heal from these wounds,” Armstrong said.
I am very optimistic!We also help a small part of our
I just think it’s different for startups versus scaled companies.If you haven’t found a strong product market, the tradeoff for faster and more freedom seems worth the smaller market size
— Anthony | dYdX (@AntonioMJuliano) August 25, 2023
Wintermute CEO Evgeny Gaevoy also beep On this topic, I agree with Juliano, but point out: “Only I think that if cryptocurrency succeeds, it will either take 2-3 years or it will never succeed.”
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